Section 1. All Ship Agent Members (“Ship Agents”) must abide by the ASBA Code of Ethics.
Section 2. All Ship Agents must comply with the following standards of Financial Responsibility.
a) Attestation by an external CPA that company’s accounting procedures are as per generally accepted practices.
b) External CPA review for issuance of an “Agreed Upon Procedure Report” submitted to ASBA annually.
The following procedures, based on random sampling, must be attested to:
- Amounts due from/to principals in company’s general ledger are supported by detailed accounting and reporting for principals which agrees in total to the general ledger.
- Detailed accounting/reporting for principals includes a listing of cash receipts and disbursements (by invoice) for sample voyages with total amounts due to/from the principal for each selected voyage and in total at end of reporting period.
- Maintain separate files for principals to include supporting documentation.
- All transactions for principals must be supported by invoices and/or receipts.
c) Certification by Ship Agent’s management that undisputed accounts are settled in accordance to agent’s agreement with principals and vendors.
d) Ship Agents must demonstrate adequate insurance coverage, submit proof annually and name ASBA as a notify party.
i. Automobile Coverage (owned and non-owned vehicles)
ii. Workmen’s Compensation for USL&H as required.
iii. Liability Coverage – minimum of 1 million dollars per event.
iv. Error & Omissions Coverage – minimum of 1 million dollars aggregated for the policy year.
e) Company in good standing as certified annually by the Secretary of the State in which the Ship Agent is incorporated.
Section 3. Industry Experience
a) At least one year in the business.
Section 4. Each Ship Agent must ensure that its Employees are Trained and Professional
a) Ship Agents must provide on the job training or participate in member or ASBA provided training seminars.
b) Ship Agents must successfully complete the ASBA Ship Agent Exam.
Section 5. In consideration of being ASBA-certified, Ship Agent Members agree:
a) that the ASBA Ethics & Grievance Committee will be the governing body to consider complaints or other issues raised by their principals regarding noncompliance with this Article (provided such complaints or issues are brought within 1 year from the date that the conduct complained about occurred or became known or should have become known to the complainant)
b) to abide by the rulings of the Committee.
Ship Agents deemed by the ASBA Ethics & Grievance Committee to be acting in non-complianc with this Article shall be subject to a formal reprimand and/or suspension or expulsion from membership.
As a trade association, ASBA assumes no responsibility for the acts or omissions of any of its members, including but not limited to, claims, demands or causes of actions arising out of the certification of ASBA’s agency members.